(Recasts, adds comments, details, updates prices)
* Gold down nearly 1.2% over the week
* Palladium set for eighth straight weekly gain
* Platinum poised for worst week in over one-month
By Sumita Layek and K. Sathya Narayanan
Sept 27 (Reuters) - Gold pared some losses on Friday, after falling more than 1%, as investors opted for the safety of the metal following reports the United States is considering delisting Chinese companies from U.S. stock exchanges.
Spot gold XAU= was down 0.5% at $1,498.07 an ounce as of 02:33 p.m. EDT (1833 GMT) after touching its lowest since Sept. 18 at $1,486.60 earlier in the session. The metal was still down about 1.2% for the week.
U.S. gold futures GCcv1 settled down 0.6% to $1,506.40 an ounce.
U.S. President Donald Trump's move to delist Chinese companies from U.S. stock exchanges would be a part of a broader effort to limit U.S. investments into China, a source briefed on the matter said. reports probably brought a little bit of short covering and put the U.S.-China trade war back on the table," said Jim Wyckoff, senior analyst with Kitco Metals.
Earlier in the session, gold prices had slipped as much as 1.3% as the dollar rose to a three-week peak amid doubts whether the U.S. Federal Reserve will cut interest rates again in October. USD/
"Central bank easing is being called into question as many Fed officials are saying that maybe we don't need as much ongoing stimulus in the market," said David Meger, director of metals trading at High Ridge Futures.
On Thursday, Fed Vice Chair Richard Clarida said U.S. inflation expectations are currently in line with the central bank's 2% goal, an indication that he does not see a pressing need for new rate cuts to boost inflation. U.S. durable goods number also came better than expected and people are getting out of gold here just because that data does not support another rate cut," said Bob Haberkorn, senior market strategist at RJO Futures.
Data earlier on Friday showed U.S. durable goods orders rose 0.2% in August versus an expectation of -1%. global central bank easing, (the U.S.-China) trade war, economic growth concerns, geopolitical tensions in Mideast and other places, alternative investment demand due to recessionary fears will remain in place, at this moment they look wobbly and are allowing this pullback in the gold market," High Ridge Futures' Meger said.
Among other precious metals, silver XAG= fell 1.5% to $17.54 an ounce.
Platinum XPT= slipped 0.1% to $929.02 and was on track for its worst week in over a month.
Palladium XPD= was up 0.9% to $1,682.56 an ounce. The auto-catalyst metal, which is in short supply, was up nearly 2.5% for the week and on track for a eighth straight weekly gain.